Tenant Protection Act Can Affect Landlords in Two Ways

Tim Hutter says landlords should consider property management procedures and asset rehab plans.

SACRAMENTO—The Tenant Protection Act of 2019/AB 1482 took effect on January 1, 2020 and will affect many landlords and tenants of residential property across the state. AB 1482 will require landlords of all types from institutional to individual to carefully consider property management procedures, asset rehabilitation plans and even corporate ownership structures.

Although certain properties and owners are exempt, California residential landlords could be impacted in two significant ways, says Tim Hutter, Allen Matkins attorney. There is now a percentage limit imposed on annual rent increases (capped at 5% of the gross rental rate plus the change in cost of living, and not to exceed 10%) as well as a just cause requirement for terminating tenants who have occupied a property for 12 months or more.